The Importance of Due Diligence When Buying Commercial Property


FIRSTLY, LET’S DEFINE what Due Diligence really means. And then, you need to understand when you should actually consider an in-depth Due Diligence study. [Read more…]

Is Retail Disruption Feeding An Industrial Surge?

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IN THEIR LAST article, BMT Tax Depreciation took a look at the attractive tax benefits available for you, as an industrial property investor.

However, let’s explore a little further the disruptive influence of Amazon and eBay upon retailers. And how that is having a growing impact on industrial property. [Read more…]

The Future for Retail Investment Property

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OVER THE PAST few years, you will have observed my caution towards purchasing retail property as a worthwhile investment. This is basically been the case since the global financial crisis – when consumers began tightening their belts. [Read more…]

The Office Market Crown is Set to Move to Melbourne

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SYDNEY HAS traditionally claimed to be the largest office market, with the greatest office space take-up each year.

However, more corporate tenants leased space in Melbourne during the second half of last year, then any other capital city. In fact … 110,000 sqm more space than they actually vacated. [Read more…]

You Need to Look Behind The Economic Data

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A NUMBER of journalists and economic pundits seem to have been focussing solely upon the latest GDP figures.

However, the recent NAB monthly business survey appears to contradict concerns about the shaky household consumption sector – where the main concerns seem to relate to past issues.

Mainly things like … the end of the mining boom, resulting in a collapse of wage growth. [Read more…]

Understanding Total Returns

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ONLY RECENTLY, I shared some thoughts with my Mentor group. And they related to the Total Returns investors tend to expect from commercial property.

Here is a graph that appeared late last year in the Australian Financial Review. And it depicts the combination of Income Return and Capital Growth. [Read more…]

Why are Young Couples Flocking to Commercial Property?

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IN HIS BOOK Rich Dad Poor Dad, Richard Kiyosaki tells us: “You must know the difference between an asset and liability, and buy assets.”

Because “assets put money in your pocket.” Whereas, liabilities continually take money out of your pocket.

On that basis, you quickly realise your family home is therefore considered a liability — rather than an asset, or an investment. [Read more…]

How Will Trump’s Win Affect Commercial Property?

Trump and Commercial Property

WHILE THE WORLD may be stunned by Donald Trump’s win, you’ll most likely find things will not be nearly as bad as everyone thinks.

And that’s reflected in the huge rebound in the stock market — once investors began studying his policies in more depth.

How did Trump achieve the Win?

In many respects, the media is responsible for the outcome — because so much airplay was given to his outlandish rhetoric. [Read more…]

The Office Scene Revisited

A FEW WEEKS AGO, I gave you an overview of the CBD Office scene around Australia. And that explained there was a 2-speed market between Sydney & Melbourne, and the other capital-city CBDs.

Now the Property Council of Australia has come out with its latest Office Market Report — as of June 2016.

[Read more…]

CBD Offices Shaping Up as a 2-Speed Market

ACCORDING TO the latest quarterly report from JLL (AFR: 14 July p35), the Australian CBD office scene was in much better shape, as at the end of June this year.

However, it was only Sydney and Melbourne that displayed any marked improvement.

[Read more…]

CBD Office Markets Vary Greatly

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THIS IS CERTAINLY a two-speed story, according to the Property Council’s most recent Office Market Report.

The vacancy rate in Perth currently sits at around 20%; with office rentals down about 40% since there 2012 peak.

Sydney saw a 100,000 sqm take-up in the 12 months to December — which is three times its historical average. And the demand for office space was also strong for Melbourne.

[Read more…]